Title

The Effect of Near- Versus Distant-Future Mindsets on Socially Responsible Investors' Mutual Fund Preferences

Department/School

Marketing

Date of this version

2012

Document Type

Article

DOI

https://doi.org/10.1057/fsm.2012.5

Abstract

Socially responsible investing (SRI) has seen tremendous growth in recent years. For SRI investors, choosing among potential SRI investments often requires making trade-offs between social responsibility and financial aspects of the investment. In this study we examine contexts where investors are more vs. less willing to make such trade-offs, specifically in the context of SRI-guided mutual funds among Muslim investors. We expect that priming a near-future mindset will make respondents less likely to trade-off social responsibility for financial considerations while priming a distant-future mindset will make respondents more likely to make such trade-offs. Using a discrete choice experimental design among Saudi Arabian adults, we find support for our hypotheses. Managerial implications and directions for future research are discussed.

Volume

17

Published in

Journal of Financial Services Marketing

Citation/Other Information

Alexander, D., Sailors, J., Al-Khatib, J. A., & Al-Habib, M. I. (2012). The effect of near- versus distant-future mindsets on socially responsible investors’ mutual fund preferences. Journal of Financial Services Marketing, 17, 67-79. https://doi.org/10.1057/fsm.2012.5

COinS